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Wednesday, March 28, 2012

Hindsight is 20/20: that from former finance commissioner Greg Yeomans, who testified at the John Ferguson trial not even the most prudent financial advice could have predicted 2008's stock market crash and subsequent recession.

Yeomans reminded the court that 2008 was one of the worst economic downturns on this planet in 80 years. He said the pension plan experienced a 28.6% investment loss, and that's what created the currently precarious fiscal situation.

He said Saint John isn't alone in its position, hower; last year, Montreal had to put $607 million into their plan, up from $130 million in 2005, and Regina is similarly strapped. That being said, he he doesn't believe the city can go bankrupt, because the province would step in under the Municipalities Act.

After Yeoman's testimony, the final witness for pension board lawyer Barry Morrison's took to the stand. City solicitor John Nugent bea trustee of the pension plan in 2003.

Nugent testified integrity is the cornerstone of his professional life, because communications between lawyer and client are sacrosanct. But, said Nugent, that's the code of conduct people should hold themselves to anyway.

Nugent says he wasn't concerned even once he realized the number of disability pensions the board was awarding was significantly higher than the industry standard. He said he didn't worry because he felt confident that all the information had been shared with him, and the board worked to clarify the definition of disability.

A tanker that picked up three people stranded in waters near Cape Sale Island on Monday night has arrived in Saint John. The FSL Hamburg has arrived in port this afternoon.

Federal Immigration Minister Jason Kenney says law enforcement agencies have yet to determine if a sailboat carrying nine people off the coast of Nova Scotia was involved in human smuggling. Three people have made refugee claims.One man pulled from the yacht was pronounced dead in hospital in Yarmouth, N.S., where two other men were being treated for their injuries.

Mayor Ivan Court clashed with the lawyer for John Ferguson at the former Common Councillor's trial for defamation.

Court admonished Gillis to show him some respect as Mayor and member of Common Council. Gillis was pressing Court on whether he had an obligation to the taxpayer in 2003 to make changes to the city's pension plan.

Court told the jury the city received actuarial advice in 2006 not to make any changes because the plan was in good shape but then the financial collapse happened in 2008. Court also rejects the suggestion of any mismanagement on the part of the Pension Board.

Ferguson's lawyer, Rod Gillis told Court the only people who are losing are the taxpayers but the Mayor disagreed with the suggestion that the pension plans financial woes will drive the city into bankruptcy.

Court admits he was never comfortable with the early retirement buyouts but told the jury Ferguson went down a dangerous road and was reckless.

City Police releasing a description of the suspect they're looking for in the armed holdup of Sandy's Convenience on Sandy Point Road Sunday afternoon around 5:00.He's described as white, standing from 5 feet 8 to 5 feet 9 with an average build.

At the time of the holdup, he was wearing a black jacket and beige hoodie with a black ball cap, jeans, black shoes and light coloured gloves.

The Saint John Board of Trade is giving the provincial budget a cautious thumbs up.

BOT Chair John Warrington says he would give the budget a grade of B.

He tells CHSJ News he gives credit to the government for not raising taxes as it would have been an easy way out but more detail was needed on strategic spending and the 10 million dollars being put into Invest NB.

He adds it's important to know how the province is going to grow our economy at a faster pace.